WASHINGTON, D.C. Today, the Commerce Department released its gross domestic product (GDP) estimate for the third quarter of 2022. It found the U.S. economy rose by 2.6%. This follows two consecutive quarters of GDP declines of -1.6% and -0.6%, respectively. 

Patrice Onwuka, director of the Center for Economic Opportunity (CEO) at Independent Women’s Forum, issued the following statement:

“Make no mistake. The U.S. economy is not well. One slightly positive economic reading does not outweigh the harsh reality for American households. 40-year-high inflation erodes Americans’ incomes and undercuts their standard of living. High borrowing costs have priced out first-time homebuyers and slowed the housing market. Pessimism due to inflation and interest rates has plunged consumer confidence and slowed spending, which are drivers of the U.S. economy. This 2.6% GDP growth rate is likely a one-time boost before an ever-bigger coming bust.

“We did not have to end up here. Inflation took off in 2021 because President Biden and his Democratic congressional allies passed a massively inflationary spending bill. High inflation was not global until relatively recently, and not every nation is experiencing it. So let’s not blame Putin, price-gouging, or any other scapegoat. This is a result of policy decisions that were made by political leaders.

“There’s no magic bullet to solving inflation, but at a minimum, additional inflationary spending should be off the table. The Federal Reserve’s aggressive steps to fight inflation are a painful price that we all pay for Biden and Democrats’ ill-advised economic policies.”

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Independent Women’s Forum’s Center for Economic Opportunity (CEO) aims to educate the public about how government policies impact people’s opportunities for economic development and upward mobility.